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Mortgage Advice Sought!

Have a query here for some mortgage advice if anyone can help.

I am 27yrs old, and my partner is 23. We are looking to buy our first home together and have seen a three bed property for 139,995. The property is being offered with a 5% builders deposit, 100 towards the monthly mortgage payment each month for the first year, 350 towards legal fees.

I earn 20k per year as a tied mortgage adviser with C&G, and my partner is a teacher earning 19k per year. Our only outgoings are 209 per month towards a car payment in my partners name and I pay 80 per month on a personal loan with approx 4000 outstanding. We both have good credit history with no missed payments.

The downside to all this is that I have a buy to let property valued at

40,000 which presently has 34,000 owing. I am tied in for a further two years. I also have a residential property which we live in that is valued at around 65,000 but has 75,000 owing as I took out a together mortgage with Northern Rock in order to clear my debts from university. I am tied in to this deal for a further 2 and a half years.

Having spoken to an independant mortgage broker he advised that the only way around this problem would be to self certify in my partners name only and find another 5% of the purchase price to make a total of a 10% deposit.

I am looking to hopefully keep both of my current properties as an investment for the future, and don't wish to sell them if possible.

However, we would really like to buy this property but the two mortgages I have at the moment appear to be quite an obstacle.

Thoughts on how to resolve this?

Any help much appreciated!

Thanks.

Reply to
Geordie
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Valued at how much? jesus it must be a cupboard! Get it revalued!

Sell them first.

Hmm. You're the mortgage advisor. What would you say to someone who came to you with these circumstances?

Don't rush into buying a third property. Apart from the loans you also have mortgage payments to add in. Don't add to this burden. Sort out your existing finances first.

Reply to
mogga

In message , Geordie writes

I'm not too keen on these 5% deposit type things, after all it essentially means you have to over-value to get the 5% and then hope the surveyor doesn't down value it.

Don't they teach you about affordability at C&G? Think back to your CeMAP/MAQ exams, what would you recommend in answer to one of those questions if this was the scenario.

What do you intend to do with this property? Let it out? Doubtless NR will want to increase the rate by 1% or somesuch, or they may not be keen on the idea at all given that the property is in negative equity due to using the Together mortgage.

Are they doing 90% self-cert for employed people, I haven't kept up with it lately but I thought the only companies doing 90% self-cert would do that for self-employed only with an 85% restriction on employed self-cert.

Probably the easiest way to get and keep all three properties would be to embezzle funds from C&G!

Have you asked your manager what he would suggest, or did he just laugh?

Reply to
me

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